The SIPA and EDHEC research initiative is exploring the potential of market-based, monthly-priced private asset indices to bridge the data gap in the Total Portfolio Approach (TPA). This collaboration aims to enhance the accuracy and usefulness of TPA by incorporating more granular and timely data for private markets.

Currently, a significant challenge in private equity and private markets is the infrequent and often lagged nature of valuation data. This can lead to an incomplete picture of overall portfolio performance and risk. By investigating the role of these new indices, SIPA and EDHEC are seeking to provide investors with better tools for asset allocation and risk management.

The research focuses on how these indices can be integrated into existing TPA frameworks, offering a more dynamic view of private asset performance. This advancement is crucial for investors aiming to optimize their portfolios in an increasingly complex financial landscape.